MYANMAR: Rubber export will not decline despite low prices

Despite low prices in both local and foreign markets, Myanmar’s rubber export will not decrease, according to Myanmar Rubber Growers and Producers Association.

“Export has nothing to do with low or high prices. We have to export what is all produced. Currently, we can produce nearly 250,000 tons of rubber (annually). Domestic use is just 8 % and the remaining is for export. But we can see lower income. If export decreases, we will have to close down rubber plantations,” said Khaing Myint, secretary of the association. He commented that low rubber prices in international market had impact on local market but dismissed rumours that there is no demand from foreign countries.

In February rubber prices in global market were reduced from USD 1,800 per ton to USD 1,500 or 1,600. Local price is just MMK 760 per pound. According to the association, Myanmar’s rubber is exported mainly to China, Malaysia, Singapore, Indonesia, Korea, Japan, and Taiwan. Among them, China is the main buyer. Rubber is produced mainly from Mon and Kayin states. It is also grown in Yangon, Bago and Taninthayi regions.

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